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Not sure I have a great answer on the hood release, sorry. As to the hydraulic resevoir, I assume you are talking about the late 123 chasis, California wagons. On my '85 the resevoir is on the left (driver's side) front next to the windshield washer resevoir. It's a round translucent plastic tank with a metal tube coming out of the top. You can't miss it.
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LRG
1987 300D Turbo 175K
2006 Toyota Prius, efficent but no soul
1985 300 TDT(130K miles of trouble free motoring)now sold
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